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    Principles of Macroeconomics Study Set 8
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    Exam 19: A Macroeconomic Theory of the Open Economy: How Policies and Events Affect an Open Economy
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    A Government Budget Deficit
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A Government Budget Deficit

Question 105

Question 105

Multiple Choice

A government budget deficit


A) increases both net capital outflow and net exports.
B) decreases both net capital outflow and net exports.
C) increases net capital outflow and decreases net exports.
D) decreases net capital outflow and increases net exports.

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